Today we will briefly analyze the most common flaws that traders do while trading in the forex market , try to understand their methods and learn how to prevent errors. The most common cause of traders’ failure is ignoring one of the unwritten rules of the financial market.

First, and the most common mistake of trader is impatience, this physiological factor can greatly influence all your operations. For example the trader builds a good plan for entering the market, sets Stop Loss and Take Profit, does everything correctly.

Here comes the sad part, the trader does not wait for the price to reach the desired point and opens positions before  the desired point. Further, when the price is already coming to the level  that he has set as an market entry point,  technical indicators may change unpredicatbly.  Series may converge or diverge not according to trader’ s expectations, the price could fail to reach or  vice -versa  will outpass his aimed  level and will everything fail. So patience is is very important in this business, patience is money in forex.

The second most common mistake among beginners and sometimes even among  experienced traders  is ” jumping on a departing train.” The second unwritten rule of the Forex market states: no prices – no deal. If you came and turned on the computer and saw that you have missed the price you were aiming for, no matter if you have been waiting exactly for this movement, you have calculated it,  you should let it go, do not worry and in no case make a deal. No second guessing!

The third rule says do not regret for the missed deal. Of course you won’t win anything but you won’t lose either.

Photo credit to caro_hdz_z